Elder-Beerman Announces August Sales.

DAYTON, Ohio--(BUSINESS WIRE)--Sept. 2, 1999--

The Elder-Beerman Stores Corp. (Nasdaq/NMS:EBSC) today announced its sales results for the four-week period ended August 28, 1999.

August total department store sales increased 1.3 percent over August 1998 to $46.6 million. Department store comparable sales for August decreased 1.3 percent from last year. Comparable store sales now include ten of the eleven stores acquired from Stone & Thomas. Additionally, the Dayton Mall store opened in August 1998, and its sales are no longer compared to the sales of the former Southtowne store. Total consolidated sales increased 0.6 percent to $49.6 million. On a consolidated basis, August comparable sales decreased 1.7 percent.

Elder-Beerman also reported that total sales for its Bee-Gee Shoe division for the month were $3.0 million, a decrease of 9.5 percent from August 1998. Comparable sales for Bee-Gee in August decreased 7.8 percent over the same period last year.

Frederick J. Mershad, Chairman and Chief Executive Officer, stated, "The company's comparable sales decrease was primarily the result of being up against last August's clearance liquidation sales in the former Stone & Thomas stores and the grand opening of our Dayton Mall flagship store. Sales at the former Stone & Thomas stores did, however, exceed our expectations for the month. In our core business sales were essentially flat on a comparable store basis. Areas that performed particularly well were the total home store, cosmetics, children's and intimate apparel."

The nation's eighth largest independent department store chain, The Elder-Beerman Stores Corp. operates 60 stores in Ohio, West Virginia, Indiana, Michigan, Illinois, Kentucky, Wisconsin and Pennsylvania. Headquartered in Dayton, Ohio, Elder-Beerman reported total revenues of $658.0 million and net sales from store operations of $632.4 million in 1998. Elder-Beerman also operates two furniture superstores. The company's Bee-Gee Shoe Division operates 55 El-Bee and Shoebilee! shoe stores in seven states.

Note: See attached table of sales comparison figures. -0-

(dollars in millions)                      AUGUST

----------------------------------------------------------------------
                               1999      1998     Total    Comparable
                               Sales     Sales    Sales      Sales
(unaudited)                                      Change(a)   Change
----------------------------------------------------------------------
Department Store
Division                       $46.6     $46.0     1.3%      (1.3%)
----------------------------------------------------------------------
Bee-Gee Shoe Division          $ 3.0     $ 3.3    (9.5%)     (7.8%)
----------------------------------------------------------------------
Elder-Beerman
Stores Corp.                   $49.6     $49.3     0.6%      (1.7%)
(Consolidated
 company)
----------------------------------------------------------------------



(dollars in millions)                       YEAR TO DATE
----------------------------------------------------------------------
                               1999      1998      Total    Comparable
                               Sales     Sales     Sales      Sales
(unaudited)                                       Change(a)   Change
----------------------------------------------------------------------
Department Store
Division                      $323.8(b)  $282.6    14.6%(b)    1.2%
----------------------------------------------------------------------
Bee-Gee Shoe Division         $ 17.4     $ 18.9    (7.5%)     (5.0%)
----------------------------------------------------------------------
Elder-Beerman
Stores Corp.                  $341.2(b)  $301.5    13.2%(b)    0.8%
(Consolidated
 company)
----------------------------------------------------------------------
(a) Percentages may not correspond to the sales figures shown due
    to rounding of sales figures.

(b) Includes sales of $37.8 million for the eleven former Stone &
    Thomas stores.

This press release contains "forward-looking statements," including predictions of future operating performance, events or developments such as our future sales, profits, expenses, income and earnings per share. In addition, words such as "expects," "anticipates," "intends," "plans," "believes," "hopes," and "estimates," and variations of such words and similar expressions, are intended to identify forward-looking statements.

Because forward-looking statements are based on a number of beliefs, estimates and assumptions by management that could ultimately prove inaccurate, there is no assurance that forward-looking statements will prove to be accurate. Many factors could materially affect our actual future operations and results, including the following: increasing price and product competition; fluctuations in consumer demand and confidence; the availability and mix of inventory; fluctuations in costs and expenses; the effectiveness of advertising, marketing and promotional programs; weather conditions that affect consumer traffic in stores; the continued availability and terms of financing; the outcome of pending and future litigation; consumer debt levels; and other general economic conditions that affect retail operations and sales, such as the rate of employment, inflation and interest rates and the condition of the capital markets.

Elder-Beerman undertakes no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.